What is LMS Software? Benefits of LMS for Small Business - Blog

Written by SeekLMS Correspondent on 17 August 2021

A learning management software (LMS) is utilized by organizations to create, distribute, manage, and to optimize learning and development programs. Though it was originally designed for education, organizations have been using it to deliver modules to close training gaps. Depending on its design, it can support both synchronous and asynchronous learning. For the former, there are tools that allow the instructor to facilitate the class and which enables students to engage and collaborate with each other in real-time. 

Who is a learning management system for?

There are different types of learning management systems for an educational institution, a non-profit organization, or a for-profit entity to provide learning and development resources to their students. In a corporate setting, it is used to distribute materials that can enhance the training of employees and boost their skills in handling scenarios online. 

What can a learning management platform do?

The best learning management system is capable of publishing learning resources in one click. Before that, it allows instructors to create their own resources and to update them at any time. It is also responsible for the streamlined distribution of guides, manuals, eBooks, and other training texts to the employees who need them. 

Are there benefits in using an LMS?

There are numerous benefits of online learning platforms. An increase in worker productivity, enhanced customer service, a safer workplace, better employee retention, and employee collaboration are only a few. Read on to know more about the learning management system features and benefits.

  1. It increases worker productivity.

Gallup reported in 2018 that U.S. worker engagement is on the rise, with 34% reporting that they are engaged. Meanwhile, 13% of workers are actively disengaged, a record low. These numbers are important because they affect the productivity of the organization, leading to higher profitability.

How does a company keep its employees engaged? One way to do it is to implement an LMS software. This solution allows organizations to enhance their skills through resources like eBooks. When employees have access to these, they can read on how they can be efficient in completing their tasks. They can also learn how to focus on their responsibilities for the day to avoid distractions. Thus, they can become more productive. 

Moreover, employees can view resources repeatedly whenever they need refreshers because they are available from the company’s LMS.

Mobile learning is also a growing trend for learners to access materials on-the-go at any time.

  1. It enhances service quality.

When starting a nonprofit, one thing that has to be considered is the growth of workers. Professional development is one of the factors that affect the decisions of employees to stay or leave. To make sure that workers get the training they need means to add to the growing list of expenses of a company. While that may be concerning, there are other ways to make certain that workers grow with the help of an organization. 

LMS software solutions can serve as a training resource for employees. One of its advantages over physical training is it can be modified at any time. This means that workers can keep themselves up-to-date regarding the latest innovations or techniques in their fields. With this, they can apply what they have learned from their readings to their tasks immediately. 

This is exemplified by the enhancement of customer service. Since companies can create their own learning materials, they can share general and industry-specific scenarios and guidelines on how to deal with them. These can prepare customer service agents so they are better equipped to resolve customer issues. 

2. It improves workplace safety. 

It is not always easy to keep employees apprised of the latest rules and regulations regarding workplace safety. While they gain initial training, follow-ups are challenging because of time constraints and variable availability of employees.

To remedy that, organizations can set up an LMS that can serve as a repository of manuals. This lets workers view guidelines on how to handle dangerous materials, for example, whenever they are unsure how to deal with them to avoid accidents. Additionally, employees can check for themselves instructions on how to use safety gear. This way, they are accountable for their safety at work. 

As mentioned above, businesses can create materials specific to their operations. In a simple LMS, it is also possible to generate a learning path tailored to the needs or skill level of an employee. This can be advantageous to the health and safety aspect of a workplace since there are different sections that may require particular safety methods. 

3. It boosts employee retention. 

Though you can try building a startup without hiring a single person, you will have to recruit talents eventually. That in itself is a difficult task, but what’s even more challenging is retaining them.

In any organization, a high employee turnover means that workers are disengaged or dissatisfied with the workplace for many reasons. According to an article in Forbes, 2018 witnessed the highest rate of turnover in the United States. This is costing firms up to $160 billion per year due to the loss of high performers and the expenses for finding, hiring, relocating, and training new workers.

The HR Digest cites the lack of training on the job as one of the primary reasons that employees quit. As mentioned above, regular structured training can be challenging to achieve for some organizations. However, an LMS can be a remedy since employees can begin training modules on the platform at a required pace or at their own pace. This lets them develop continuously as well as grow in their roles so they can be better at their jobs. With this, they can be motivated to stay longer at a company and increase the success of training completion.

4. It fosters collaboration.

Did you know that employers put a high value on collaboration? And yet 39% of employees feel that they do not have enough teamwork in their organizations, as shown in a Queens University of Charlotte infographic. 

While the main purpose of LMS is to provide additional knowledge to employees and to train them to complete tasks correctly and efficiently, it can serve as a platform for collaboration?

How is it possible?

LMS enables synchronous learning. This means that a group of students can work together in learning about a certain topic at the same time. This requires learners to be online at the same time to tackle assignments or modules. Hence, they can engage with each other and collaborate in real-time to ensure that every member of the group understands the subject. 

Tips for a successful deployment

Not every LMS implementation is a success. At times, it takes several tries for an organization to say that their efforts are fruitful. Failed implementations are due to a lack of knowledge on the part of the implementation team or communication with end-users. 

To resolve that, here are a few tips that an organization can find helpful in the process: 

  • Choose a vendor wisely (check some learning management system software ranking for decision-making help)
  • Sign up for a trial run
  • Form an implementation team
  • Draft a plan and timeline
  • Migrate data
  • Train employees for high adoption rate
  • Make the switch

For switching to a new LMS, the process can be more difficult, especially if there are employees who are resistant to the change (maybe they liked the previous LMS too much). The key would be to make the transition gradual to give workers time to become familiar with the new system. This can also be advantageous because it gives the implementation team time to complete the data migration and to get everyone on board. 

But of course, the implementation process does not end upon the complete launch of the LMS. Optimization is still required to draw the potential of the software to its full extent. On top of that, there are always new courses and updates to current programs to ensure that employees have a full stack of learning resources at their fingertips to fully maximize the LMS features.

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